Pakistan, Afghanistan border closure extends into second day after deadly clashes
Peshawar (AP): The closure of border crossings for bilateral trade between Afghanistan and Pakistan entered a second day Monday after deadly weekend clashes between the countries spiked tensions and left hundreds of people stranded, officials said.
The fighting began Saturday night, when Afghan forces struck multiple Pakistani military posts. Afghanistan officials claimed to have killed 58 Pakistani soldiers in response to what they said were repeated violations of Afghan territory and airspace.
Pakistan's military gave lower figures, saying it lost 23 soldiers and killed more than 200 “Taliban and affiliated terrorists” during retaliatory fire along the border. Foreign governments, including Saudi Arabia, urged restraint. A ceasefire appeared to be holding.
Pakistan's Defence Minister Khawaja Mohammad Asif, the country's powerful army chief Field Marshal Asim Munir, and other officials attended a mass funeral for the killed soldiers in the garrison city of Rawalpindi on Monday, according to a military statement.
Asif said the people of Pakistan were "indebted to the ultimate sacrifice of these heroes who laid down their lives while defending the territorial integrity of Pakistan against the cowardly and treacherous aggression of the Taliban regime and Indian sponsored terrorist proxies operating from inside Afghan soil,” according to the statement.
The statement also quoted him as saying that the “armed forces of Pakistan remain resolute to thwart any aggression and conspiracy against Pakistan with full support of the nation."
Authorities said no new exchange of fire had been reported since Sunday along the 2,611-kilometre long border known as the Durand Line, which Afghanistan has never recognised.
In Afghanistan, Abidullah Uqab, a spokesperson for the border police, confirmed that all the border crossings with Pakistan remained shut for trade and movement of people on Monday.
It was not clear when the border might reopen.
Though the southwestern Chaman border crossing was closed for trade, authorities briefly allowed about 1,500 Afghan nationals stranded there since Sunday to return home on foot, government officer Imtiaz Ali said.
A key northwestern crossing in Torkham, Pakistan, remained closed Monday to all travel and trade. The closure was confirmed by Mujib Ullah, a representative for local traders.
Afghan refugees, including many who were waiting to leave Pakistan because of a crackdown on foreigners living in the country illegally, said they had been waiting at the Torkham crossing since Sunday.
Gul Rahman, a refugee, said he waited through Sunday at Torkham before returning with his family to the northwestern city of Peshawar.
“Hundreds of others people like me have moved to nearby areas or coming back to Peshawar,” he said, adding that he will wait there for Torkham to reopen.
Tensions have been high since last week when Afghanistan's Taliban government accused Pakistan of carrying out airstrikes in the Afghan capital Kabul and in a market in eastern Afghanistan. Pakistan did not claim responsibility.
Pakistan's government in Islamabad has previously launched strikes inside Afghanistan targeting what it says are militant hideouts. The countries have skirmished along the border in the past, but the latest fighting has been the deadliest so far and underscored their deepening hostility.
Pakistan has long accused Kabul of sheltering members of the banned Pakistani Taliban, known as Tehreek-i-Taliban Pakistan, or TTP, which Islamabad blames for deadly attacks inside the country. Kabul denies the allegation, saying it does not allow its territory to be used against other nations.
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India proposes preferential trade agreement with Mexico to deal with high tariffs
New Delhi (PTI): India has proposed a preferential trade agreement (PTA) with Mexico to help domestic exporters deal with the steep tariffs announced by the South American country, a top government official said on Monday.
Mexico has decided to impose steep import tariffs - ranging from about 5 per cent to as high as 50 per cent on a wide range of goods (about 1,463 tariff lines) from countries that do not have free trade agreements with Mexico, including India, China, South Korea, Thailand and Indonesia.
Commerce Secretary Rajesh Agrawal said that India has engaged with the country on the issue.
"Technical level talks are on...The only fast way forward is to try to get a preferential trade agreement (PTA) because an FTA (free trade agreement) will take a lot of time. So we are trying to see what can be a good way forward," he told reporters here.
While in an FTA two trading partners either significantly reduce or eliminate import duties on maximum number of goods traded between them, in a PTA, duties are cut or removed on a limited number of products.
Trading partners of Mexico cannot file a compliant against the decision on imposing high tariffs as they are WTO (World Trade Organisation) compatible.
The duties are within their bound rates, he said, adding that their primary target was not India.
"We have proposed a PTA because its a WTO-compatible way forward... we can do a PTA and try to get concessions that are required for Indian supply chains and similarly offer them concessions where they have export interests in India," Agrawal said.
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Citing support for local production and correction of trade imbalances, Mexico has approved an increase in MFN (most favoured nation) import tariffs (5-50 per cent) with effect from January 1, 2026 on 1,455 tariff lines (or product categories) within the WTO framework, targeting non-FTA partners.
Preliminary estimates suggest that this affects India's around USD 2 billion exports to Mexico particularly -- automobile, two-wheelers, auto parts, textiles, iron and steel, plastics, leather and footwear.
The measure is also aimed at curbing Chinese imports.
India-Mexico merchandise trade totalled USD 8.74 billion in 2024, with exports USD 5.73 billion, imports USD 3.01 billion, and a trade surplus of USD 2.72 billion.
The government has been continuously and comprehensively assessing Mexico's tariff revisions since the issue emerged, engaging stakeholders, safeguarding the interests of Indian exporters, and pursuing constructive dialogue to ensure a stable trade environment benefiting businesses and consumers in both countries.
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Federation of Indian Export Organisations (FIEO) Director General Ajay Sahai has said that Mexico's decision is a matter of concern, particularly for sectors like automobiles and auto components, machinery, electrical and electronics, organic chemicals, pharmaceuticals, textiles, and plastics.
"Such steep duties will erode our competitiveness and risk, disrupting supply chains that have taken years to develop," Sahai said, adding that this development also underlines the little urgency for India and Mexico to fast-track a comprehensive trade agreement.
Domestic auto component manufacturers will face enhanced cost pressures with Mexico hiking duties on Indian imports, according to industry body ACMA.
